Capitalism, The Fed and Economic Policy

tempo_n_groove said:

My place I rent would be DOUBLE what it is if I were to look for a new place.

Vehicle prices still remain high because the companies know people are still buying.

Housing sales have been stalling because unless you have cash or a huge down payment you can't afford one.

My grocery bills are 50% more.

My raises have not kept up with these trends.

So yeah, the economy is doing something but not for me.

tempo_n_groove said:

static111 said:

tempo_n_groove said:

My place I rent would be DOUBLE what it is if I were to look for a new place.

Vehicle prices still remain high because the companies know people are still buying.

Housing sales have been stalling because unless you have cash or a huge down payment you can't afford one.

My grocery bills are 50% more.

My raises have not kept up with these trends.

So yeah, the economy is doing something but not for me.

It's great for the people at the top though!

I've mentioned this before about housing/rent and the corporations taking that market over.  There is a company called "Fairfield" that has been buying up houses and complexes and in doing so driving up the prices which leads others too follow suit or they control a good part of the market.

They want to see a return on their investment so hiking up the pricing is the best thing to do.

It is no longer cheaper to rent than own.  I am in a somewhat good place for rent so far.

mrussel1 said:

static111 said:

tempo_n_groove said:

static111 said:

tempo_n_groove said:

My place I rent would be DOUBLE what it is if I were to look for a new place.

Vehicle prices still remain high because the companies know people are still buying.

Housing sales have been stalling because unless you have cash or a huge down payment you can't afford one.

My grocery bills are 50% more.

My raises have not kept up with these trends.

So yeah, the economy is doing something but not for me.

It's great for the people at the top though!

I've mentioned this before about housing/rent and the corporations taking that market over.  There is a company called "Fairfield" that has been buying up houses and complexes and in doing so driving up the prices which leads others too follow suit or they control a good part of the market.

They want to see a return on their investment so hiking up the pricing is the best thing to do.

It is no longer cheaper to rent than own.  I am in a somewhat good place for rent so far.

Yeah we were looking at buying and with todays prices and interest rates it would cost 1000 to 2000 more per month than our current rent.  Crazy times.  Now we are looking at moving elsewhere, Austin is just too expensive but we have found some decent midsize cities that still have houses we consider affordable.  We will just have to see what the future brings.   One thing is for sure the price tag of the American Dream is much higher than it was just a generation or two ago.

Come to Richmond! We have reasonable prices, reasonable weather and reasonable politics.  You can be normal here.  

static111 said:

mrussel1 said:

static111 said:

tempo_n_groove said:

static111 said:

tempo_n_groove said:

My place I rent would be DOUBLE what it is if I were to look for a new place.

Vehicle prices still remain high because the companies know people are still buying.

Housing sales have been stalling because unless you have cash or a huge down payment you can't afford one.

My grocery bills are 50% more.

My raises have not kept up with these trends.

So yeah, the economy is doing something but not for me.

It's great for the people at the top though!

I've mentioned this before about housing/rent and the corporations taking that market over.  There is a company called "Fairfield" that has been buying up houses and complexes and in doing so driving up the prices which leads others too follow suit or they control a good part of the market.

They want to see a return on their investment so hiking up the pricing is the best thing to do.

It is no longer cheaper to rent than own.  I am in a somewhat good place for rent so far.

Yeah we were looking at buying and with todays prices and interest rates it would cost 1000 to 2000 more per month than our current rent.  Crazy times.  Now we are looking at moving elsewhere, Austin is just too expensive but we have found some decent midsize cities that still have houses we consider affordable.  We will just have to see what the future brings.   One thing is for sure the price tag of the American Dream is much higher than it was just a generation or two ago.

Come to Richmond! We have reasonable prices, reasonable weather and reasonable politics.  You can be normal here.  

We are actually looking at VA, KY and TN.  Sure they aren't perfect and none holds the Paris of the US but they all have some decent cities with affordable houses and good schools.

Jearlpam0925 said:

How does this play into the R's hands? If anything this would dilute the idea of R/D-majority areas. If anything it would make Republican-majorities shrink in those areas.

Regardless, people have been leaving the boonies for major metro/dense/urban areas for a while now. More than 80% of the country lives in what would be considered an urban environment. By 2050 it is projected to be 90%.

static111 said:

tempo_n_groove said:

static111 said:

mrussel1 said:

static111 said:

tempo_n_groove said:

static111 said:

tempo_n_groove said:

My place I rent would be DOUBLE what it is if I were to look for a new place.

Vehicle prices still remain high because the companies know people are still buying.

Housing sales have been stalling because unless you have cash or a huge down payment you can't afford one.

My grocery bills are 50% more.

My raises have not kept up with these trends.

So yeah, the economy is doing something but not for me.

It's great for the people at the top though!

I've mentioned this before about housing/rent and the corporations taking that market over.  There is a company called "Fairfield" that has been buying up houses and complexes and in doing so driving up the prices which leads others too follow suit or they control a good part of the market.

They want to see a return on their investment so hiking up the pricing is the best thing to do.

It is no longer cheaper to rent than own.  I am in a somewhat good place for rent so far.

Yeah we were looking at buying and with todays prices and interest rates it would cost 1000 to 2000 more per month than our current rent.  Crazy times.  Now we are looking at moving elsewhere, Austin is just too expensive but we have found some decent midsize cities that still have houses we consider affordable.  We will just have to see what the future brings.   One thing is for sure the price tag of the American Dream is much higher than it was just a generation or two ago.

Come to Richmond! We have reasonable prices, reasonable weather and reasonable politics.  You can be normal here.  

We are actually looking at VA, KY and TN.  Sure they aren't perfect and none holds the Paris of the US but they all have some decent cities with affordable houses and good schools.

This is kind of the big purge where people leave the big democratic run states and head out to others.

It plays right into the republicans playbook.  Interesting how they come to these things huh?

I move where I can afford to live...Simple as that for me.  If Austin was affordable we would make plans to stay long term.  I don't think it has anything to do with who is in charge politically.  If Austin was hard red, but affordable I would stay, if it was still expensive as hell we would leave.

mrussel1 said:

static111 said:

tempo_n_groove said:

static111 said:

mrussel1 said:

static111 said:

tempo_n_groove said:

static111 said:

tempo_n_groove said:

My place I rent would be DOUBLE what it is if I were to look for a new place.

Vehicle prices still remain high because the companies know people are still buying.

Housing sales have been stalling because unless you have cash or a huge down payment you can't afford one.

My grocery bills are 50% more.

My raises have not kept up with these trends.

So yeah, the economy is doing something but not for me.

It's great for the people at the top though!

I've mentioned this before about housing/rent and the corporations taking that market over.  There is a company called "Fairfield" that has been buying up houses and complexes and in doing so driving up the prices which leads others too follow suit or they control a good part of the market.

They want to see a return on their investment so hiking up the pricing is the best thing to do.

It is no longer cheaper to rent than own.  I am in a somewhat good place for rent so far.

Yeah we were looking at buying and with todays prices and interest rates it would cost 1000 to 2000 more per month than our current rent.  Crazy times.  Now we are looking at moving elsewhere, Austin is just too expensive but we have found some decent midsize cities that still have houses we consider affordable.  We will just have to see what the future brings.   One thing is for sure the price tag of the American Dream is much higher than it was just a generation or two ago.

Come to Richmond! We have reasonable prices, reasonable weather and reasonable politics.  You can be normal here.  

We are actually looking at VA, KY and TN.  Sure they aren't perfect and none holds the Paris of the US but they all have some decent cities with affordable houses and good schools.

This is kind of the big purge where people leave the big democratic run states and head out to others.

It plays right into the republicans playbook.  Interesting how they come to these things huh?

I move where I can afford to live...Simple as that for me.  If Austin was affordable we would make plans to stay long term.  I don't think it has anything to do with who is in charge politically.  If Austin was hard red, but affordable I would stay, if it was still expensive as hell we would leave.

If you need any advice or consult on Virginia,  feel free to ask.  Great schools and quality of life. 

mickeyrat said:

Jearlpam0925 said:

"It plays right into the republicans playbook."

And it's not like this kind of migration is a bad thing. I also personally think it's short-term. Big Cities, and their draw as a major economic center, will always be there. And looking even further down the road imo the Sun Belt migration has been great but the sheer temp increases, - and ensuing lack of resources due to climate change - will drive people out of those areas again. I feel like Minnesota will be a nice sweet spot come another 50 years from now. And I remember Tulsa was incentivizing people to move there. But there's no fucking way I'd move to Tulsa.

At the end of the day there's only one (two, ok actually three) answer(s) to the housing crisis - which is by far been the greatest economic concern even pre-Covid: 1) there just needs to be a new New Deal-type home building program put into place to drastically increase supply 2) unfuck the idea of zoning laws in this country 3) demographics - unfortunately, if 1 & 2 aren't done then 3 will be waiting for Boomers to die.

4. bar invetors groups from this sector.

mickeyrat said:

Jearlpam0925 said:

"It plays right into the republicans playbook."

And it's not like this kind of migration is a bad thing. I also personally think it's short-term. Big Cities, and their draw as a major economic center, will always be there. And looking even further down the road imo the Sun Belt migration has been great but the sheer temp increases, - and ensuing lack of resources due to climate change - will drive people out of those areas again. I feel like Minnesota will be a nice sweet spot come another 50 years from now. And I remember Tulsa was incentivizing people to move there. But there's no fucking way I'd move to Tulsa.

At the end of the day there's only one (two, ok actually three) answer(s) to the housing crisis - which is by far been the greatest economic concern even pre-Covid: 1) there just needs to be a new New Deal-type home building program put into place to drastically increase supply 2) unfuck the idea of zoning laws in this country 3) demographics - unfortunately, if 1 & 2 aren't done then 3 will be waiting for Boomers to die.

4. bar invetors groups from this sector.

Jearlpam0925 said:

mickeyrat said:

Jearlpam0925 said:

"It plays right into the republicans playbook."

And it's not like this kind of migration is a bad thing. I also personally think it's short-term. Big Cities, and their draw as a major economic center, will always be there. And looking even further down the road imo the Sun Belt migration has been great but the sheer temp increases, - and ensuing lack of resources due to climate change - will drive people out of those areas again. I feel like Minnesota will be a nice sweet spot come another 50 years from now. And I remember Tulsa was incentivizing people to move there. But there's no fucking way I'd move to Tulsa.

At the end of the day there's only one (two, ok actually three) answer(s) to the housing crisis - which is by far been the greatest economic concern even pre-Covid: 1) there just needs to be a new New Deal-type home building program put into place to drastically increase supply 2) unfuck the idea of zoning laws in this country 3) demographics - unfortunately, if 1 & 2 aren't done then 3 will be waiting for Boomers to die.

4. bar invetors groups from this sector.

I agree, but at the same time there's a logic there that needs to go further, because I really don't think that's the issue as much as a bug/feature (depending on who you talk to) of the system in place.

Because the logic is either - can LLC's/commercial businesses own real estate? Because if so, then why can't investors?

What I'm getting at is investors will only put their money in what has value/scarcity. If you build more of it, then the interest in investing weakens.

And this to me speaks to a larger issue in this country that home ownership = wealth/equity. And as long as that is always the view then there's always going to be a problem.

Jearlpam0925 said:

Roughly 60-70% of rentals are owned by individual investors, and roughly the remaining 30-40% is owned by institutional investors. Which has been increasing for sure. But again, I can't stress enough in the order of the 4 things we listed above it's not at the top of the list imo.

#1 by a distant margin is increasing supply. But the elephant in the room no one wants to talk about is increasing supply will drop housing prices. Which a lot of homeowners clutch their pearls over.